Global Automotive Smart Tire Market Growth, Share, Size, Trends and Forecast (2025 - 2031)

• In March 2023, Infineon Technologies AG expanded its range of NFC tag-side controllers with the introduction of the NGC1081, emphasizing their role in enabling passive smart devices for IoT applications with superior accuracy, efficiency, and streamlined design.

• In March 2023, Siemens secured a strategic supplier agreement to provide automation and drive technology to multiple Continental tire factories worldwide. This initiative aims to enhance production efficiency through the integration of advanced smart technologies.

The global automotive smart tire market has been experiencing significant growth driven by advancements in automotive technology and increasing demand for safety and efficiency in vehicles. Smart tires integrate sensors and advanced technologies to provide real-time data on tire pressure, temperature, tread wear, and other vital parameters. This data enables vehicle owners and operators to monitor tire health, optimize performance, and enhance overall safety on the road.

One of the key drivers of growth in the automotive smart tire market is the rising emphasis on vehicle safety and efficiency. Smart tires help in early detection of potential tire failures or issues, thereby reducing the risk of accidents caused by tire blowouts or underinflation. This proactive monitoring also contributes to extending tire lifespan and optimizing fuel efficiency, which are crucial factors for both individual consumers and fleet operators looking to reduce operational costs and carbon footprints.

Another significant factor fueling market growth is the increasing adoption of electric vehicles (EVs) and autonomous vehicles (AVs). These vehicles rely heavily on real-time data and advanced sensors to operate efficiently and safely. Smart tires play a crucial role in providing the necessary data for EVs and AVs to adjust performance parameters dynamically, enhancing their overall driving experience and safety standards.

Advancements in tire manufacturing technologies and the integration of Internet of Things (IoT) capabilities have spurred innovation in the smart tire segment. Manufacturers are focusing on developing lightweight, durable, and sensor-equipped tires that can withstand varying road conditions and temperature extremes while delivering accurate data. This innovation is expected to further propel market growth as automotive OEMs and consumers alike recognize the long-term benefits of smart tires in terms of safety, performance, and sustainability.

Global Automotive Smart Tire Segment Analysis

In this report, the Global Automotive Smart Tire Market has been segmented by Technology, Vehicle Type, Sales Channel and Geography.

Global Automotive Smart Tire Market, Segmentation by Technology

The Global Automotive Smart Tire Market has been segmented by Technology into Pneumatic Tires and Non-Pneumatic Tires.

Pneumatic tires, also known as air-filled tires, have been the traditional choice for automotive vehicles for decades. These tires are designed with an inner tube filled with compressed air, which supports the vehicle's load and provides cushioning against road impacts. In the context of smart tires, advancements in pneumatic technology have focused on integrating sensors and monitoring systems to enhance performance and safety. These sensors can monitor tire pressure, temperature, tread wear, and even road conditions in real-time. By gathering and analyzing data, smart pneumatic tires enable vehicles to optimize tire performance, improve fuel efficiency, and enhance overall driving safety. Manufacturers are continually innovating to develop pneumatic smart tires that offer longer durability, reduced maintenance costs, and enhanced reliability across diverse driving conditions.

Non-pneumatic tires, also referred to as airless tires or solid tires, represent an innovative approach to tire technology. Unlike pneumatic tires that rely on air pressure, non-pneumatic tires are constructed from materials such as rubber composites, plastics, or a combination of both, offering a durable and maintenance-free solution. In the automotive smart tire market, non-pneumatic tires are gaining attention due to their ability to withstand punctures and reduce the risk of blowouts, which are common concerns with traditional pneumatic tires. Smart non-pneumatic tires integrate advanced sensor technologies to monitor tire conditions and performance metrics. These sensors provide real-time data on tire pressure, temperature, and tread wear, allowing vehicles to adjust performance parameters accordingly. The development of smart non-pneumatic tires aims to enhance vehicle safety, reduce environmental impact, and improve overall driving comfort by ensuring consistent performance across various terrains and weather conditions.

Global Automotive Smart Tire Market, Segmentation by Vehicle Type

The Global Automotive Smart Tire Market has been segmented by Vehicle Type into Passenger Cars, Commercial Vehicles, Battery Electric Vehicle, Hybrid Electric Vehicle and Plug-In Electric Vehicle.

In terms of vehicle type segmentation, passenger cars represent a substantial portion of the automotive smart tire market. This segment benefits greatly from smart tire technologies, as it enhances driver safety and comfort while providing real-time insights into tire health. With the rising adoption of advanced driver-assistance systems (ADAS) in passenger vehicles, smart tires play a crucial role in ensuring optimal vehicle dynamics and control.

Commercial vehicles also form a key segment within the automotive smart tire market. Fleets and logistics operators are increasingly turning to smart tire solutions to improve operational efficiency, reduce downtime, and enhance fleet management capabilities. Smart tires enable fleet managers to remotely monitor tire conditions, predict maintenance needs, and optimize vehicle performance, thereby lowering operational costs and improving overall productivity.

The emergence of electric vehicles (EVs), including battery electric vehicles (BEVs), hybrid electric vehicles (HEVs), and plug-in hybrid electric vehicles (PHEVs), represents another significant growth avenue for the smart tire market. EVs place unique demands on tires due to their weight distribution, torque characteristics, and energy efficiency requirements. Smart tires tailored for electric vehicles can provide critical data on energy consumption, range optimization, and battery management, thereby supporting the broader adoption of electric mobility solutions.

As the automotive industry continues to embrace digitalization and connectivity, the demand for smart tires across various vehicle types is expected to rise. Manufacturers are focusing on developing advanced sensor technologies, integrated systems, and predictive analytics capabilities to meet the evolving needs of modern vehicles. This trend not only enhances vehicle safety and performance but also aligns with broader industry trends towards sustainable and intelligent mobility solutions.

Global Automotive Smart Tire Market, Segmentation by Sales Channel

The Global Automotive Smart Tire Market has been segmented by Sales Channel into Original Equipment Manufacturer and Aftermarket.

The OEM segment encompasses tires that are fitted as original equipment on new vehicles during their manufacturing process. These tires are integrated into the vehicles before they are sold to consumers. The OEM segment holds a substantial portion of the market share due to the direct inclusion of smart tire technology by vehicle manufacturers in their new models. This integration is driven by the growing demand for advanced safety features and real-time monitoring capabilities among consumers.

The Aftermarket segment refers to tires that are sold separately after the vehicle has been purchased and may replace worn-out or damaged tires originally installed by the OEM. The aftermarket for automotive smart tires is expanding as consumers increasingly seek to upgrade their vehicles with smart tire technology to enhance performance, safety, and efficiency. This segment is characterized by a wide range of tire brands, models, and technologies available to meet diverse consumer preferences and vehicle requirements.

Global Automotive Smart Tire Market, Segmentation by Geography

In this report, the Global Automotive Smart Tire Market has been segmented by Geography into five regions; North America, Europe, Asia Pacific, Middle East and Africa and Latin America.

Global Automotive Smart Tire Market Share (%), by Geographical Region, 2024

North America, one of the key markets, is witnessing robust adoption of automotive smart tires due to the region's advanced automotive technology infrastructure and high consumer demand for smart and connected vehicles. The presence of major automotive manufacturers and technological innovators further boosts market expansion in this region. Moreover, stringent regulations regarding vehicle safety and emissions in North America are propelling the adoption of smart tire technologies, which offer enhanced monitoring capabilities and contribute to overall vehicle efficiency.

In Europe, another prominent market, the automotive smart tire sector is thriving amidst stringent regulatory frameworks aimed at improving vehicle safety and environmental sustainability. The region's strong automotive manufacturing base, coupled with increasing investments in research and development, fosters the development and deployment of advanced smart tire solutions. Additionally, growing consumer preference for luxury and high-performance vehicles equipped with smart technologies is bolstering market growth across Western and Eastern Europe alike.

Asia Pacific represents a rapidly expanding market for automotive smart tires, driven by the region's burgeoning automotive industry and rapid urbanization. Countries such as China, Japan, and South Korea are at the forefront of this growth, supported by increasing vehicle production and rising disposable incomes. The adoption of smart tire technologies in Asia Pacific is also influenced by government initiatives promoting smart and electric vehicles to address urban congestion and environmental concerns. As a result, both domestic and international automotive manufacturers are increasingly integrating smart tire solutions into their product offerings to cater to the evolving consumer preferences and regulatory landscape in the region.

In the Middle East and Africa, the automotive smart tire market is gaining traction primarily due to improving economic conditions and rising investments in automotive infrastructure. The region's automotive sector is witnessing gradual modernization, with a growing focus on enhancing vehicle safety, performance, and efficiency through advanced technologies like smart tires. Moreover, increasing awareness about road safety and the benefits of smart tire systems among consumers and fleet operators is driving market expansion across key countries in the Middle East and Africa.

Latin America, though a smaller market compared to other regions, is showing promising growth prospects for automotive smart tires. Factors such as increasing vehicle sales, improving transportation infrastructure, and rising awareness about vehicle safety standards are contributing to the adoption of smart tire technologies in countries like Brazil, Mexico, and Argentina. Additionally, the presence of major automotive manufacturers and the gradual shift towards electric and hybrid vehicles are expected to further propel market growth in Latin America in the coming years.

This report provides an in depth analysis of various factors that impact the dynamics of Global Automotive Smart Tire Market. These factors include; Market Drivers, Restraints and Opportunities Analysis.

Drivers:

• Safety enhancements
• Growing demand for connectivity
• Fuel efficiency improvements

• Rising consumer awareness- Consumer awareness of automotive smart tires is steadily rising, driven by technological advancements and increasing emphasis on vehicle safety and efficiency. Smart tires integrate sensors and connectivity features to provide real-time data on tire pressure, temperature, tread wear, and road conditions. This data helps enhance vehicle performance, optimize fuel efficiency, and improve overall safety by alerting drivers to potential issues before they become critical. As consumers become more informed about the benefits of smart tires, including extended tire life and reduced maintenance costs, demand for these advanced solutions is expected to grow significantly.

  Regulatory mandates and standards focusing on vehicle safety and emissions are also contributing to the growing awareness of smart tires among consumers. Governments and regulatory bodies are increasingly encouraging the adoption of technologies that can improve vehicle safety and environmental impact. Smart tires not only contribute to safer driving conditions but also help reduce fuel consumption and greenhouse gas emissions, aligning with global efforts towards sustainability. This regulatory push serves to educate consumers about the long-term benefits of smart tire technology, prompting them to consider these factors when making purchasing decisions.

  The automotive industry's ongoing shift towards electric and autonomous vehicles is another key driver of consumer awareness regarding smart tires. Electric vehicles (EVs) and autonomous cars rely heavily on advanced technologies to maximize efficiency and safety. Smart tires play a crucial role in these vehicles by providing real-time data that can optimize performance and ensure safety during autonomous operations. As consumers embrace the idea of a more connected and intelligent driving experience, the demand for smart tires is poised to rise, driven by their essential role in supporting the next generation of automotive innovations.

Restraints:

• High initial costs
• Complex integration challenges
• Limited aftermarket availability

• Dependency on sensor technology- The global automotive smart tire market is increasingly reliant on sensor technology to meet the evolving demands of vehicle performance, safety, and efficiency. Smart tires integrate sensors that monitor various parameters such as tire pressure, temperature, tread wear, and even road conditions in real-time. This data is crucial for enhancing overall vehicle dynamics, ensuring optimal tire performance, and providing early warnings of potential issues. As automotive manufacturers strive for more intelligent and connected vehicles, the role of sensor technology in smart tires becomes indispensable.

  Sensor technology in automotive smart tires offers several key advantages. By continuously monitoring tire conditions, these sensors enable predictive maintenance, which can significantly reduce the risk of tire-related accidents and breakdowns. For instance, real-time tire pressure monitoring systems (TPMS) help maintain optimal tire pressure levels, thereby enhancing fuel efficiency and extending tire lifespan. Moreover, sensors that assess road conditions can enhance vehicle stability and traction control systems, contributing to improved safety even in challenging driving conditions.

  The dependency on sensor technology is pivotal in the development of autonomous and semi-autonomous vehicles. Smart tires equipped with advanced sensors play a critical role in providing accurate data inputs to the vehicle's onboard systems, such as adaptive cruise control and lane-keeping assistance. These capabilities not only enhance driving comfort and safety but also pave the way for future advancements in autonomous driving technology. As automotive manufacturers continue to innovate, the integration of sensor technology in smart tires will remain a focal point for enhancing overall vehicle performance, safety, and efficiency in the global automotive market.

Opportunities:

• Advancements in IoT technologies
• Increasing adoption of electric vehicles
• Development of autonomous vehicles

• Expansion in emerging markets- The global automotive smart tire market is witnessing significant expansion, driven largely by the increasing adoption of advanced technologies in the automotive industry. Smart tires, equipped with sensors and integrated with IoT capabilities, offer real-time data on tire pressure, temperature, tread wear, and other crucial metrics. This data not only enhances vehicle safety but also contributes to improved fuel efficiency and overall performance. Emerging markets, characterized by rapid urbanization, rising disposable incomes, and a growing automotive sector, present substantial growth opportunities for smart tire manufacturers.

  In emerging markets such as India, China, and Brazil, the demand for vehicles is escalating as more consumers transition from two-wheelers to four-wheelers, supported by improving infrastructure and economic development. This shift is accompanied by heightened awareness regarding vehicle safety and efficiency, propelling the adoption of smart tire technology. Manufacturers are increasingly focusing on these regions to capitalize on the burgeoning demand, tailoring their products to meet local preferences and regulatory requirements. Moreover, partnerships and collaborations with local automotive players and government initiatives promoting road safety and emission reduction further bolster market growth in these regions.

  Technological advancements and innovations in smart tire technology are fostering market expansion globally. Manufacturers are investing in research and development to enhance sensor capabilities, battery life, and integration with vehicle systems, thereby expanding the applicability of smart tires beyond passenger vehicles to commercial fleets and autonomous vehicles. These innovations are not only driving market growth but also paving the way for new business models such as tire-as-a-service (TaaS), where tires are leased based on usage metrics monitored in real-time. As smart tire technology continues to evolve, its integration into vehicles is expected to become more seamless, further boosting market penetration and adoption worldwide.

Key players in Global Automotive Smart Tire Market include:

• Bridgestone Corporation
• Continental AG
• Michelin Group
• Pirelli & C. S.p.A
• Goodyear Tire and Rubber Company
• Sumitomo Rubber Industries
• Hankook Tire & Technology Co., Ltd
• Yokohama Rubber Company
• Toyo Tire Corporation
• Kumho Tire Co., Inc

In this report, the profile of each market player provides following information:

• Company Overview and Product Portfolio
• Key Developments
• Financial Overview
• Strategies
• Company SWOT Analysis